The 2025 census in Japan revealed a population decline of 2.5% compared to 2020, the largest drop recorded in a quinquennial survey. This third consecutive decline implies a smaller workforce, increased pressure on the pension system, and a possible tax increase to support the growing elderly population. The country faces a demographic challenge that affects its economy and the daily lives of its citizens.
Robots and Algorithms: Technology as a Response to Worker Shortages 🤖
Faced with a lack of working-age people, Japan is accelerating automation in sectors such as manufacturing and logistics. Companies are implementing collaborative robots and artificial intelligence systems to cover repetitive tasks. Digital platforms are also being developed to optimize human resource management, reducing dependence on young workers. However, investment in these solutions remains high for small companies, limiting their reach.
Fewer Japanese, More Taxes: The Recipe to Avoid Dying Old 💸
The Japanese government plans to raise the consumption tax and income taxes to fund pensions, while young people wonder if they will work until age 90. The solution seems to be paying more for fewer services, like going to a hospital where the nurse is a robot with a low battery. At least, if the population continues to decline, there will be fewer people to complain in bank queues.